How to make a buck as a financial planner in Australia
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You must be a Commonwealth financial management professional (CFM) article A Commonwealth financial manager (CFMM) is an Australian who has held the title of financial manager or financial manager-in-charge for more than three years.
It is a position of responsibility and responsibility is a requirement of this role.
A financial manager must: have a qualification in financial management; have held a finance portfolio management or a portfolio management-in‑charge title in Australia; and have completed a portfolio review and a financial management exam.
The role is not limited to financial management.
A Commonwealth CFMM must: meet the financial management requirements of the financial services licence for which he or she holds a licence; have a portfolio or financial management knowledge; and possess a portfolio of the types of information required to carry out financial management tasks.
A senior financial manager has responsibility for managing the financial affairs of a company, including the operations of a corporation, the sale or disposal of shares, and the management of a portfolio, which include the provision of information, advice and guidance to clients.
A top financial manager also has a responsibility for the financial stability of a firm, including assessing the financial position of a financial institution and ensuring compliance with legal requirements and regulatory requirements.
A career with a Commonwealth CFM is not restricted to financial services.
In some circumstances, a financial manager may also have a role in a business or sector.
For more information on financial management in Australia, please see the CFM role.
What are the requirements for a Commonwealth Financial Management Professional?
There are two requirements to qualify as a Commonwealth finance manager- in-charge: a qualification as a portfolio manager or portfolio manager-, and a portfolio assessment.
A portfolio manager is someone who is responsible for managing a portfolio and is in charge of the portfolio.
A ‘Pipeline manager’ is someone responsible for the management and the provision to clients of information related to the portfolios of a client or group of clients.
For further information about portfolio management, see the portfolio manager role in the CFMA.
A professional portfolio manager must meet the qualifications of a senior financial management manager to be eligible for a portfolio-management licence.
A junior financial manager who is not a portfolio member is not eligible for an A-level portfolio.
There are also other requirements for portfolio managers to meet the criteria for managing portfolios in the financial market.
A bank must be the only lender to the portfolio of a bank.
The bank must not be a ‘bank’ as defined in the Reserve Bank Act, 2008.
A client must not have a direct or indirect financial interest in the bank or in a subsidiary or affiliate of the bank.
For the purposes of this section, a client has a direct financial interest if the client: has an interest in a company which is the holder of a licence or the parent company of a person or entity; has a financial interest which would affect the interest of the client or the interests of the company or the subsidiary or affiliates of the customer; has an investment in a financial company which provides services to the client; or has an indirect financial interests.
A non-bank financial company (non-bank portfolio manager) is a person who has an active financial interest, in relation to a client, in a commercial, investment or business venture that involves the provision or management of information or advice in relation the client’s financial affairs.
The term ‘non-banks’ means: (a) non-government organisations (including Commonwealth banks); and (b) public and private sector organisations, including Commonwealth banks, which are authorised by the Commonwealth.
How do I become a Commonwealth FTM?
A Commonwealth FTMs licence will be issued to the applicant if: they are a senior bank manager; they hold a portfolio title of more than 30 years; they have completed at least one portfolio review; and they have met the requirements of paragraph 1.2.
If a bank does not meet the requirements above, the applicant will need to apply to the Reserve Board for a licence.
The applicant will also need to meet a portfolio evaluation to be considered.
The portfolio evaluation must be completed within six months of the application being made.
The application will then be reviewed by the Board and if the application is successful the applicant may apply to be licensed as a Financial Management Practitioner.
The process to become a financial services FTM is the same as the one for a senior CFM.
A Financial Services Minister will be responsible for licensing and overseeing the profession of FTMs in the future.
For information on how to become licensed as an FTM, please contact the FTM licensing officer.
What do FTMs do?
FTMs provide financial advice to the Commonwealth and related agencies.
FTMs are not regulated as financial advisers or as private financial companies, but they are licensed to provide financial services to their clients.
FTM activities include: providing advice on how
RTE 1.You must be a Commonwealth financial management professional (CFM) article A Commonwealth financial manager (CFMM) is an Australian who…